The West End has been hit by a devastating collapse in evening trade during the Tube strike with takings down by as much as two thirds in “ghost town” central London.

With the stoppage now into its third day restaurants, theatres, club and shops say they have paid a heavy price for the dispute between the RMT union and London Underground, estimated to be costing at least £50 million a day.

Transport for London said all eleven Tube lines had at least a skeleton service today and insisted nine out ten regular commuters had battled into work yesterday on public transport, based on Oyster card readings.

Empty: A lone commuter boards a train at London Bridge Picture: Jeremy Selwyn

But business leaders said the West End’s crucial night time economy had been given “another kick in the teeth” as commuters and tourists scramble home early rather than risk facing a huge taxi bill after a night out.

Richard Dickinson, chief executive of New West End Company, which represents hundreds of shops, said: “We are acutely aware of the effect on West End shoppers caused by this current tube strike. We have 150,000 retail and office workers within our area, as well a half a million shoppers per day, who rely on public transport to visit the West End.

“These strikes severely affect the retailers and leisure businesses who are seeking to provide the best service to those who visit the West End for its outstanding offer. The current situation puts this in jeopardy. We sincerely hope that a better way can be found to plan for the future.

“Whilst we support TFL in their plans to be more customer focused at stations, we must look to the way forward for our NWEC members and, most importantly, customers with future strikes and disruptions projected. It is clear that all sides must urgently get round the table to resolve this totally unacceptable situation”.

TfL said more RMT members had chosen to cross picket lines than during February’s walkout.

Shut: Closed gates at Waterloo
But the normally heaving entertainment district of Soho was almost deserted last night on the second evening of the stoppage.

Angelo Corsaro, manager of bistro Made in Italy in Old Compton Street, said: “We had about 20 customers and usually get 60. It’s a big loss for us. We’re not happy.”

Restaurateur Russell Norman said business was down by 30 to 40 per cent at six out of his seven central London locations, which include Polpo and Polpetto. He said: “It’s scary out there, Soho looks like a ghost town.”

West End shops also suffered. Ewan Venters, chief executive of Piccadilly’s Fortnum & Mason, said: ”Sales have dropped by 20 per cent versus last year as a direct result of the tube strike. The RMT are attacking yet again, the hard working citizens of London, damaging business and our reputation abroad.”

Simon Thomas, chief executive of the Hippodrome Casino on Leicester Square, “I respect everyone’s right to have a point of view but the rest of us have had to make major adjustments to the new world economic situation and work very hard to ensure we can progress. It seems pitiful that the Tube unions are both resistant to change and trying to knock London just when the recovery is developing.”

Less busy: Chinatown last night Picture: Nigel Howard

Tube boss Mike Brown admitted Londoners were going home early. He said: “People have adjusted their plans and if they wanted to go out for a meal or a drink they got closer to home first, the peak died off fairly quickly. But our Oyster number show that in terms of the commercial and business operations of the city there’s no doubt people got to work.”

He added: “It is quite unbelievable what the RMT are doing, they are leading people into the abyss. What are other employer would offer what we are – we have guaranteed retraining, no loss of money and a station by station staffing review. But they won’t sit down and discuss this with me. What other organisation on earth would behave this way. They are living in caves. This is Dark Ages stuff.”

According to TfL, nine out of ten commuters’ Oyster cards were used by 7pm yesterday, suggesting many switched to the bus instead of the stricken Tube system.

But there were claims that reliable travel updates had become a casualty of the strike, with commuters particularly angered about claims of a “normal” service on the Northern Line.

Liberal Democrat assembly member Caroline Pidgeon said: “Exaggerated or misleading claims about the Tube service is the last thing the public needs at present. Having failed to reach an agreement both the RMT and London Underground seem more keen on a war of propoganda than putting the interests of passengers first.”

The RMT, which is demanding a public consultation on the Tube ticket office closures, were unavailable for comment.

The former miner told the Evening Standard: “I’m a former union member. I know justified union activism when I see it.

“I’ve been through the miners’ strike too and I know when it is just mindless wrecking.

“This isn’t the way to achieve anything practical. It is precisely the sort of action that gives the union tradition a bad name. It isn’t about workers’ rights. It is just knee jerk opposition to sensible changes that will improve services for farepayers and save money for taxpayers.”

He added: “Yet when it comes to condemning the RMT’s actions, Ed Miliband is still silent more than 36 hours since it began.”